Valneva (NASDAQ:VALN – Get Free Report) and Foghorn Therapeutics (NASDAQ:FHTX – Get Free Report) are both small-cap healthcare companies, but which is the superior stock? We will contrast the two companies based on the strength of their profitability, valuation, risk, dividends, institutional ownership, analyst recommendations and earnings.
Profitability
This table compares Valneva and Foghorn Therapeutics’ net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Valneva | -110.33% | -153.20% | -39.50% |
| Foghorn Therapeutics | -175.78% | N/A | -31.17% |
Valuation & Earnings
This table compares Valneva and Foghorn Therapeutics”s top-line revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Valneva | $197.56 million | 2.79 | -$130.33 million | ($2.11) | -2.75 |
| Foghorn Therapeutics | $36.74 million | 3.31 | -$74.28 million | ($0.98) | -2.09 |
Foghorn Therapeutics has lower revenue, but higher earnings than Valneva. Valneva is trading at a lower price-to-earnings ratio than Foghorn Therapeutics, indicating that it is currently the more affordable of the two stocks.
Volatility and Risk
Valneva has a beta of 1.53, indicating that its stock price is 53% more volatile than the S&P 500. Comparatively, Foghorn Therapeutics has a beta of 3.01, indicating that its stock price is 201% more volatile than the S&P 500.
Analyst Ratings
This is a summary of recent ratings and price targets for Valneva and Foghorn Therapeutics, as provided by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Valneva | 2 | 0 | 1 | 0 | 1.67 |
| Foghorn Therapeutics | 1 | 5 | 4 | 0 | 2.30 |
Valneva presently has a consensus target price of $9.30, suggesting a potential upside of 60.07%. Foghorn Therapeutics has a consensus target price of $6.67, suggesting a potential upside of 226.00%. Given Foghorn Therapeutics’ stronger consensus rating and higher possible upside, analysts clearly believe Foghorn Therapeutics is more favorable than Valneva.
Insider & Institutional Ownership
11.4% of Valneva shares are owned by institutional investors. Comparatively, 61.5% of Foghorn Therapeutics shares are owned by institutional investors. 14.9% of Valneva shares are owned by company insiders. Comparatively, 9.0% of Foghorn Therapeutics shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.
Summary
Foghorn Therapeutics beats Valneva on 11 of the 14 factors compared between the two stocks.
About Valneva
Valneva SE, a specialty vaccine company, develops, manufactures, and commercializes prophylactic vaccines for infectious diseases with unmet needs. It offers IXIARO, an inactivated Vero cell culture-derived Japanese encephalitis vaccine indicated for active immunization against Japanese encephalitis; DUKORAL, an oral vaccine for the prevention of diarrhea caused by Vibrio cholera and/or heat-labile toxin producing enterotoxigenic Escherichia coli bacterium; IXCHIQ, a single-dose, live-attenuated vaccine for the prevention of disease caused by chikungunya virus; and VLA2001, an inactivated whole-virus COVID-19 vaccine. The company also develops VLA15, a vaccine candidate, which is in Phase III clinical trial against Borrelia, the bacterium that causes Lyme disease; VLA1553, a vaccine candidate, which is in Phase III clinical trial against the chikungunya virus; VLA1554, a vaccine candidate targeting human metapneumovirus; and VLA2112, a vaccine candidate to treat patients with epstein-barr virus. It sells its products in the United States, Canada, Germany, Austria, Nordics, the United Kingdom, France, rest of European countries, and internationally. Valneva SE has collaborations with Pfizer, Inc. to co-develop and commercialize its Lyme disease vaccine; and Instituto Butantan for the development, manufacturing, and marketing of single-shot chikungunya vaccine. The company was founded in 1998 and is based in Saint-Herblain, France.
About Foghorn Therapeutics
Foghorn Therapeutics Inc., a clinical-stage biopharmaceutical company, engages in the discovery and development of medicines targeting genetically determined dependencies within the chromatin regulatory system in the United States. The company uses its proprietary Gene Traffic Control platform to identify, validate, and potentially drug targets within the system. It develops FHD-286, a small molecule inhibitor of the enzymatic activity of BRG1 and BRM that is in phase I for the treatment of relapsed and/or refractory acute myeloid leukemia/myelodysplastic syndrome. The company is also developing therapies for mutant cancers, such as Non-Small Cell Lung, bladder, endometrial, colorectal, and melanoma cancers; and dependent cancers, including prostate cancer and diffuse large b-cell lymphoma. It has a research collaboration and license agreement with Merck Sharp & Dohme Corp. to discover and develop novel oncology therapeutics against a transcription factor target; and Eli Lilly and Company for developing FHD-909, a selective ATPase inhibitor of BRM. Foghorn Therapeutics Inc. was incorporated in 2015 and is headquartered in Cambridge, Massachusetts.
Receive News & Ratings for Valneva Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Valneva and related companies with MarketBeat.com's FREE daily email newsletter.
